Energy Efficiency Upgrade Live Example

Its easy to calculate energy savings over time based on the manufacturer specifications provided and the current performance of energy products in your home or business. Its not always easy to see the savings each upgrade provides you individually. Since ROI estimates are just that; estimates, Wave Energy decided to provide a test case over a 6 month time frame. We will perform upgrades in increments to one energy account, provide those results each time, and then we will finish with a solar installation producing our own electricity.. We can then review our cumulative savings and weighted ROI. The following upgrades will be performed:

  • Variable Speed Pool Pump

  • LED/CFL Lighting

  • EnergyStar Washer and Dryer

  • Weatherstripping and Caulking

  • High Efficiency Window Inserts

  • Insulation and Attic Ventilation

  • Solar PV

For this efficiency upgrade example, we will only be providing simple ROI analysis. We will not be evaluating the additional savings from maintenance and operational cost savings, but these will be discussed in abstract.


We started our test at the end of May, 2016. An old outdated Hayward 1.25 HP pool pump with worn bearings was replaced with a Pentair Superflo VS Variable Speed Pump. The maintenance included the replacement of two valves and a minor return line repair, Total cost $1005.00.

Over a period of time from April to July 2016, all incandescent lighting was replaced with Cree LED Light Bulbs or CFL Lighting. The estimated cost was around $125.00

Simple ROI:

$2746.87 Annual Energy Costs X 13% Savings = $357.09 savings a year. $1130.00 Improvement Costs / $357.09 =

Simple ROI: 3.16 Years!

Detailed ROI Abstract:

Additional Savings are realized if consider the lifetime replacement costs of regular bulbs vs CFL vs LED. Cree LEDs have an expected lifetime of 22.8 years. The efficient pool pump means less chemicals and less cleaning maintenance saving both time and money.

Detailed ROI analysis would also look at any financing used. Fees, interest rate, and terms would impact ROI as well.

As of August 8th, an EnergyStar LG washer and dryer was installed. In two months Wave Energy will provide the 2nd stage of analysis.

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